MeritValue

Skillsoft Corp.

SKILdata completeness 100%7 fiscal years on file
The thesis, from the filings

Skillsoft Corp. earns about -17% on invested capital, and has bought back 50% of its shares over 5 years. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2020FY 2023FY 2024FY 2025FY 2026
Revenue—$555.1M1$553.2M2$531M2$512.7M2
Net income−$72.5M3−$725M4−$349.3M5−$121.9M5−$139.8M5
Operating cash flow−$720,6606−$20.9M7$2.82M8$30M8$25.1M8
Capital expenditure—$4.91M9$4.18M10$1.6M10$1.77M10
Free cash flow (derived)—−$25.8M7−$1.36M8$28.4M8$23.3M8
Total debt—$1.21B11$1.21B12$1.15B13$1.15B13
Cash & equivalents$3.87M14$170.4M15$136.3M16$100.8M17$100.8M17
Diluted shares17.3M7.9M8.1M8.2M8.6M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
−$35.17
your share of equity
Profit it earned you last year
−$162.7
Free cash flow it threw off
$27.09
Debt you’d be carrying
$1,336.91

10 shares is a claim on −$35.17 of net worth that earned you −$162.7 and generated $27.09 of cash last year, against $1,336.91 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-17% avg · 5y
FY20 —FY23 -39%FY24 -19%FY25 -4%FY26 -7%

It earned an average -17% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−50% shares · 5y

Share count is down 50% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has held roughly steady.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
negative equity value — refusing to publish per-share figure
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth5.0%
  • fcfBase$23.3M
DCF · Growth Exit 5Y
not applicable
negative equity value — refusing to publish per-share figure
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth5.0%
  • fcfBase$23.3M
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2023-01-31 · accession 0001437749-25-011912 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2024-01-31 · accession 0001437749-26-011602 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K/A · period ending 2020-12-31 · accession 0001104659-22-110703 (NetIncomeLoss)
  4. 10-K · period ending 2023-01-31 · accession 0001437749-25-011912 (NetIncomeLoss)
  5. 10-K · period ending 2024-01-31 · accession 0001437749-26-011602 (NetIncomeLoss)
  6. 10-K/A · period ending 2020-12-31 · accession 0001104659-22-110703 (NetCashProvidedByUsedInOperatingActivities)
  7. 10-K · period ending 2023-01-31 · accession 0001437749-25-011912 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2024-01-31 · accession 0001437749-26-011602 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-01-31 · accession 0001437749-25-011912 (PaymentsToAcquirePropertyPlantAndEquipment)
  10. 10-K · period ending 2024-01-31 · accession 0001437749-26-011602 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2023-01-31 · accession 0001437749-24-012054 (LongTermDebtNoncurrent)
  12. 10-K · period ending 2024-01-31 · accession 0001437749-25-011912 (LongTermDebtNoncurrent)
  13. 10-K · period ending 2025-01-31 · accession 0001437749-26-011602 (LongTermDebtNoncurrent)
  14. 10-K/A · period ending 2020-12-31 · accession 0001104659-22-110703 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  15. 10-K · period ending 2023-01-31 · accession 0001437749-24-012054 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2024-01-31 · accession 0001437749-25-011912 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2025-01-31 · accession 0001437749-26-011602 (CashAndCashEquivalentsAtCarryingValue)